If new Farm Bill not passed, possible hike in dairy prices

By dgrossman

Created 12/26/2012 - 6:38pm

POSTED: Wednesday, December 26, 2012 - 6:38pm

UPDATED: Wednesday, December 26, 2012 - 6:49pm

BATON ROUGE, LA (NBC33) — One problem already looming, is the farm bill and if congress can't agree we could see "milk" double in price as soon as next month. Milk is a necessity for most people especially those with children; it keeps our bones strong and helps us grow. But what if milk doubled in price? I would probably cut back in other areas because I feel it's really important that they have there milk,” says Alison Alexander.

Allison Alexander has two young boys and goes through 3 gallons a week, which she says is already expensive, but could if dairy were to rise in price that could really burn a hole in her pocket. "It would be disappointing for sure but we would do what we had to for our children."

Even Dan Hammonds says supporting a family now is hard, and can't imagine having to dish out even more money for an everyday necessity. "I'm raising 3 grandkids right now and we go through 3-4 gallons of milk a week, its really going to be hard," noted Hammonds.

And local businesses will be hit the hardest; those that use dairy products to run their shops will be put in a difficult situation. "Everything is going to cost more and make it that much harder for all businesses to survive right now,” says Elizabeth Novak from Nothing Bundt Cakes.

Like Nothing Bundt Cakes[1], they are just gaining momentum from the time they opened not too long ago. "I doubt that we will raise prices at this point well just have to make little less profit,” noted Novak. And they know even if there is an increase, they will make it work.

"Well have to work harder and sell more cake and make up for it that way."

Several protections for farmers have already expired, and several more are set to do so over the next few months. One of them is a dairy subsidy, which ends January first.